NAPC floats JV with Swedish firm to diversify into water management
Infrastructure, real estate development and contractual mining company NAPC has diversified into water management following its strategic partnership with Swedish Lackeby Water Group.
By Hema, ET Bureau |
CHENNAI: Infrastructure, real estate development and contractual mining company NAPC has diversified into water management following its strategic partnership with Swedish Lackeby Water Group.
This tie-up is through a joint venture ���NAPC-Purac��� and it paved the way for the entry of the Swedish Group into India.
The $100 million Purac is L��ckeby Water Group���s (LWG) brand for contracting operations. The world leader in contracting for treatment of wastewater, process water and drinking water, as well as innovative treatment of biological waste, found synergy in the operations of Chennai based NAPC, LWG VP Sven Almqvist told reporters here on Monday.
NAPC has roped in a few institutional investors, which have interest in funding $100 million to $500 million in water-related projects, its director Varun Manian said.
The long-term funds spread over a 18-years would be available at interest rates of 5% following the tie up with investors. NAPC would be the lead bidder for all the jobs while Purac would be the technology provider, he added.
For now, the JV is bidding for three sewage treatment plant (STP) projects - 53 mld to 60 mld - at Nesapakkam, Perungudi and Navalur regions. The Rs 200 crore projects have the scope to get completed in 18 months and the JV aims to realise half of the revenues in the first year, Mr Manian said adding they expected to tap such projects of Chennai Metropolitan Water supply and Sewerage Board.
The contracting business unifies broad know-how and experience with our internally developed and licensed technologies for innovative solutions that deliver increased efficiency and more economical operation. "To date, LWG has completed contracts in 70 countries. NAPC-Purac will bid for all types of water projects across India, including water supply, STPs, effluent treatment, desalination," Mr Almqvist said.
The joint venture is also looking at bidding for a Rs 1,000-crore desalination plant.Minister and deputy head of mission of Swedish embassy Anders Sjoberg said the bilateral trade between the two nations has doubled in the last five years to touch over $2 billion.
Given the long history of economic ties the countries shared, Swedish mid-size companies too are keen on entering India for business relationships, especially in environmental engineering.
This tie-up is through a joint venture ���NAPC-Purac��� and it paved the way for the entry of the Swedish Group into India.
The $100 million Purac is L��ckeby Water Group���s (LWG) brand for contracting operations. The world leader in contracting for treatment of wastewater, process water and drinking water, as well as innovative treatment of biological waste, found synergy in the operations of Chennai based NAPC, LWG VP Sven Almqvist told reporters here on Monday.
NAPC has roped in a few institutional investors, which have interest in funding $100 million to $500 million in water-related projects, its director Varun Manian said.
The long-term funds spread over a 18-years would be available at interest rates of 5% following the tie up with investors. NAPC would be the lead bidder for all the jobs while Purac would be the technology provider, he added.
For now, the JV is bidding for three sewage treatment plant (STP) projects - 53 mld to 60 mld - at Nesapakkam, Perungudi and Navalur regions. The Rs 200 crore projects have the scope to get completed in 18 months and the JV aims to realise half of the revenues in the first year, Mr Manian said adding they expected to tap such projects of Chennai Metropolitan Water supply and Sewerage Board.
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Purac, which gets 60% of its revenues from municipal works, would provide the technical expertise for projects that would be executed under the joint venture. The contracting business unifies broad know-how and experience with our internally developed and licensed technologies for innovative solutions that deliver increased efficiency and more economical operation. "To date, LWG has completed contracts in 70 countries. NAPC-Purac will bid for all types of water projects across India, including water supply, STPs, effluent treatment, desalination," Mr Almqvist said.
The joint venture is also looking at bidding for a Rs 1,000-crore desalination plant.Minister and deputy head of mission of Swedish embassy Anders Sjoberg said the bilateral trade between the two nations has doubled in the last five years to touch over $2 billion.
Given the long history of economic ties the countries shared, Swedish mid-size companies too are keen on entering India for business relationships, especially in environmental engineering.
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